IFB cautions landowners on pipeline survey permit

BLOOMINGTON, Ill. — A company wanting to build a pipeline to
transport crude oil from the Bakken shale oil fields in North Dakota has started
contacting property owners in western Illinois, the Illinois Farm Bureau
reports.

The IFB cautions landowners about signing survey or
land-access permits until more is learned about the project.

“We know some landowners along the proposed route have
received letters; we just don’t know how many. The company is reaching out to
those individuals whose land may be crossed by that pipeline or located near
their property,” said Rae Payne, senior director of business and regulatory
affairs for IFB.

The company proposes to build an 1,100-mile long pipeline to
transfer crude oil from the Bakken/Three Forks area in North Dakota to Patoka,
Ill.

At Patoka, the pipeline would connect with an existing
pipeline. That existing pipeline is being converted from natural gas to crude
oil.

The pipeline system would allow the company to move crude
oil to East Coast markets, Gulf Coast ports and Sunoco Logistics Partners’
Nederland, Texas, crude oil terminal.

“ETP has secured multiple long-term binding contractual
commitments from shippers sufficient to fully support the construction of a
30-inch pipeline to Patoka. The 30-inch diameter pipeline will initially provide
320,000 barrels per day of capacity. ETP could increase the capacity of the
Bakken Pipeline based on additional customer demand,” the company said in a news
release.

The company said its board on June 25 approved construction.

A map of the proposed pipeline shows it moving through
several counties in Illinois, including portions of Pike and Scott counties.

“It’s in the very early stages yet. None of the route has
been approved by regulatory agencies. The company has not requested that
approval and we anticipate they will move in that direction,” Payne said.

He said that landowners have informed IFB that they are
being asked to sign a form allowing surveyors access to their property.

The IFB advises caution before signing any forms.

“There’s no reason any landowners should grant land agents
access to survey their land, particularly when there are crops in the field. If
the landowners want to grant that access, they should revise the language in
that survey to be more specific on the scope and timing of the right to survey.
The landowners should also make sure they are comfortable with the compensation
for crop damage,” Payne said.

He said that IFB will release more information as it becomes
available.